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Opinion: Historic Tax Reform is Working

May 22, 2018

Unemployed, jobless, out-of-work — words that far too many of our friends and neighbors know all too well. Whether you’re a mother or father with a family to feed, or an individual working to pay off student-loans, the face of unemployment is ruthless and does not discriminate.

However, thanks to the Tax Cut and Jobs Act, those who are unemployed are becoming few and far between.

Just recently, the U.S. Department of Labor reported that the unemployment rate dropped below 4 percent for the first time since 2000. That means for the first time in 18 years, hardworking Americans are going to work each day and taking a check to the bank regularly. In addition to the jobless rate declining, wages are doing just the opposite; average hourly earnings have risen tremendously from the year before.

There’s no doubt that the record low unemployment rate is due in large part to the significant tax cuts under this Republican-controlled administration and Congress. Businesses are seeing some of the lowest tax rates in U.S. history, and in turn, are able to keep more of their money. This allows business owners to grow their companies, hire more people, and invest back into their operations

Most importantly, 90 percent of Americans are seeing more money in their paychecks because businesses are now able to pay their employees higher incomes.

On average, a typical family of four will see an increase of over $2,000 annually in the bank — the fastest wage growth since 2009. In addition to larger salaries, over four million workers have received over $4 billion in bonuses.

That money can go towards important life goals such as a down payment on a house, college savings, retirement funds, or opening that small business you have always dreamed of.

In a little over a year, the economy has gone from sluggish and stagnant to prosperous and thriving. My colleagues in Congress and I have worked hard with President Trump to accomplish the most remarkable tax reform our country has ever seen. After nearly two decades of an economic decline, it’s no coincidence that the unemployment rate is at its lowest and wage growth is at its highest.

As you can see, this historic tax reform that we promised is working. Americans everywhere will continue to see more of their hard-earned dollars back in their wallets and individuals will return to the workforce every day. Fewer taxes mean more opportunities, and it’s only just begun.

Rep. Roger Williams, R-Texas, represents Texas 25th Congressional District. He serves on the Financial Services Committee as the vice chair on the Subcommittee on Monetary Policy and Trade, as well as on the Subcommittee on Terrorism and Illicit Finance and the Subcommittee on Financial Institutions.